What's the Big Deal about Big Ideas?

We tend to go on a lot about evidence-based investment management, and how important it is for investors to approach the market from the right perspective – a Cogent perspective, if you will.

The thing is, we’re not alone in our beliefs. Consider this Dimensional Fund Advisors video, “A Foundation Built on Great Ideas.” In it, Dimensional shares commentary from a number of academics, including several Nobel laureates, who have made significant contributions to the capital market theory we apply daily to practical portfolio construction.

How does solid academic inquiry contribute to solid investment strategy? As Dimensional’s (now) co-CEO Gerard O’Reilly, explains in the video: “Great research is research that you can structure strategies around. Great research solves problems for clients.”

We encourage you to view this insightful, two-minute video for yourself, and call us if we can help you follow up on any great ideas of your own.